Deserve, a venture-backed financial technology company expanding and powering the real-time credit card economy, secured a new $250 million credit facility with Goldman Sachs, Cross River and Waterfall Asset Management.
With Deserve’s digital-first, mobile-centric and configurable credit card platform, the company will use this new funding to meet the growing demand from financial institutions, fintechs and consumers.
In the last year, Deserve’s platform business launched credit card programs for partners such as BlockFi, M1 Finance, OppFi, Seneca Women, Notre Dame Global Partnerships, and KrowdFit, among others. In 2022 and beyond, Deserve plans to bring innovative card programs that help consumers manage subscriptions, augment BNPL, unlock home equity as well as card programs for SMBs and commercial customers.
“At Deserve, we’re committed to helping organizations quickly and securely launch any type of credit card product in the cloud, customized to their specific audience – a valuable touchpoint with customers and a must-have in today’s landscape of competitive brand loyalties,” Kalpesh Kapadia, CEO and co-founder of Deserve, said. “Because our platform is digital-first and mobile-centric, customers can, in turn, begin using their Deserve-powered credit card minutes after application, no plastic required. We’re excited about what this new financing will enable us to do as we amplify our reach and help more fintechs, financial institutions, SMB lenders and brands connect with and grow their customer base.”
“We’re proud to support Deserve’s growth with our credit facility, and we’re excited to play a role in bringing a more modern and complete credit card experience to consumers nationwide through Deserve’s credit card as a service platform,” Rahul Jha, head of strategic direct lending at Cross River Bank, said.
This $250 million credit facility announcement comes on the heels of Deserve’s $50 million Series D equity raise, led by Mission Holdings, Goldman Sachs and Sallie Mae with participation from Visa, Mastercard and Ally Bank in October 2021. Deserve witnessed tremendous growth in 2021 with 650% growth in transactions volume and 800% growth in receivables and this new credit facility should help it scale even higher levels in 2022 and beyond.
